(a) There is hereby established, in the Treasury of the Virgin Islands, a special fund to be known as the Employment Security Administration Fund, effective on the day after the date the Secretary of Labor of the United States approves the Virgin Islands Unemployment Insurance Act under section 3304(a) of the Internal Revenue Code of 1954. The Commissioner of Finance shall be the custodian of this fund. All moneys deposited or paid into this fund shall be continuously available to the Commissioner of Labor for expenditure in accordance with the provisions of this chapter, and chapter 7 of this title, and shall not lapse at any time or be transferred to any other fund. This fund shall consist of any money appropriated by the Virgin Islands in accordance with subsection (d) of this section; all money received from the United States of America, or any agency thereof, and all money received from any agency of the United States or any other State as compensation for services or facilities supplied to such agency; all amounts received pursuant to any surety bond, or insurance policy, or from other sources for losses sustained by the Employment Security Administration Fund or by reason of damage to property, equipment, or supplies purchased from money in such fund; all proceeds realized from the sale or disposition of any such property, equipment, or supplies which may no longer be necessary for the proper administration of this chapter and chapter 7 of this title; all moneys transferred to this fund, pursuant to the provisions of subsection (e) of this section, from the Employment Service Administration Fund and the Unemployment Insurance Administration Fund; and all money received from any other source for the administration of this chapter or chapter 7 of this title. Notwithstanding any provision of this section, all money requisitioned and deposited in this fund pursuant to section 310(f)(3) of this title shall remain part of the Unemployment Fund and shall be used only in accordance with the conditions specified in section 310(f) of this chapter.
(b) Such money shall be secured by the depository bank in which it is held to the same extent and in the same manner as required by the general depository law of the Virgin Islands, and collateral pledged shall be maintained in a separate custody account. The Commissioner of Finance shall be liable on his official bond for the faithful performance of his duties in connection with the Employment Security Administration Fund provided under this chapter. Such liability on the official bond shall be effective immediately upon the enactment of this provision, and such liability shall exist in addition to any liability upon any separate bond existent on the effective date of this provision, or which may be given in the future.
(c) All money in the Employment Security Administration Fund shall be deposited, administered and disbursed in the same manner and under the same conditions and requirements as are provided by law for other special funds in the Treasury of the Virgin Islands, except that money in this fund shall not be commingled with other funds of the Virgin Islands, but shall be maintained in a separate account on the books of a depository bank. All money in this fund, except money received pursuant to section 310(f)(3), shall be expended solely for the purposes and in amounts found necessary by the Secretary of Labor for the proper and efficient administration of this chapter and chapter 7 of this title.
(d) If any money in the Employment Security Administration Fund paid to the Virgin Islands under Title III of the Social Security Act, or the Wagner-Peyser Act, is found by the Secretary of Labor of the United States, because of any action or contingency, to have been lost or to have been expended for purposes other than, or in amounts in excess of, those found necessary by the Secretary of Labor for the proper and efficient administration of this chapter or chapter 7 of this title, such money shall be replaced from the moneys in the Penalty and Interest Fund, or, in the event that the moneys in that fund are insufficient for this purpose, it shall be replaced by money appropriated for such purpose from the general funds of the Virgin Islands to the Employment Security Administration Fund for the expenditure as provided in subsection (c) of this section. Upon receipt of notice of such a finding by the Secretary of Labor, the Commissioner of Labor shall promptly replace the amount required for such replacement from the Penalty and Interest Fund, or, if the balance in that fund is insufficient, he shall promptly report the amount required for such replacement to the Governor, and the Governor shall, at the earliest opportunity, submit to the Legislature a request for the appropriation of such amount.
(e)
(1) Any money received from the United States or any agency thereof for the administration, pursuant to chapter 7 of this title, of the public employment offices of the Virgin Islands agency cooperating with the United States Employment Service, under the Act of June 6, 1933 (48 Stat. 113), as amended, which has been deposited in the Employment Service Administration Fund prior to the date after the date the Secretary of Labor of the United States approves the Virgin Islands Unemployment Insurance Act under section 3304(a) of the United States Internal Revenue Code of 1954, and which remains unexpended as of such date, shall, any other provisions of law to the contrary notwithstanding, be transferred by the Commissioner of Finance to the Employment Security Administration Fund as of such date. Thereafter, the Employment Service Administration Fund, which was created pursuant to the provisions of section 154, chapter 7 of this title, shall be discontinued, and any moneys received thereafter from the United States or any agency thereof pursuant to chapter 7 for the administration of the public employment offices of the Virgin Islands agency cooperating with the United States Employment Service under the Act of June 6, 1933 (48 Stat. 113), as amended, shall be deposited in the Employment Security Administration Fund.
(2) Notwithstanding any other provisions of law to the contrary, there shall be transferred to the Penalty and Interest Fund all money deposited in the Unemployment Insurance Administration Fund prior to the day after the date the Secretary of Labor of the United States approves the Virgin Islands Unemployment Insurance Act under section 3304(a) of the United States Internal Revenue Code of 1954, all interest due prior to said date pursuant to section 309 of this chapter, all penalties due prior to said date pursuant to section 313(b)(2) of this chapter, all moneys due prior to said date from the Government of the Virgin Islands to the Unemployment Insurance Administration Fund under the former second paragraph of section 308(d) of this chapter, and all other moneys due from contributions prior to said date to the Unemployment Insurance Administration Fund.